Intrinsic Value
Cummins Inc. (CMI)
$292.34
-0.36 (-0.12%)
Enterprise Value | 27,066.03 |
---|---|
Net Debt | 5,029 |
Equity Value | 22,037.03 |
Shares Outstanding | 142.70 |
Equity Value Per Share | 154.43 |
Because investors are more interested in the value of the company’s shares alone, we’ll deduct net debt from this value to arrive at a fair value of the company’s equity. Fair Value = Enterprise Value – Debt